Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of the Interior shall cause to be established on the books of the Treasury, out of any unobligated tribal
funds
of the Indians of the Klamath Reservation in Oregon (hereinafter referred to as the
"Klamath Indians") on deposit in the Treasury of the United States, a capital
reserve fund for said Klamath Indians. Such fund shall be created by setting aside the sum of $50,000 for the fiscal year 1937, and shall be augmented by
additions of $50,000 for each fiscal year thereafter. Such fund shall be held in the
Treasury of the United States and shall bear interest as provided by law. The interest upon such fund shall be used, insofar as it is sufficient, for the payment of the expenses of administration of
the Klamath Indian Reservation in Oregon.

SEC. 2.

The Secretary of the Interior shall cause to be established on the
books of the Treasury, out of any unobligated tribal funds of the Klamath Indians on deposit in the Treasury, a reimbursable
loan fund from which loans may be made to enrolled Klamath Indians for industrial and agricultural assistance and the construction
and improvement of homes (including, the purchase of land and interests in land, building material, farming equipment, industrial
equipment, trucks, livestock, feed, food, seed, tools, machinery, implements, household goods, bedding, clothing, or any other
equipment or supplies necessary to enable such Indians to fit themselves for or to engage in farming, the livestock industry,
or such other industrial or agricultural pursuits or avocations as will enable them to become self-supporting); for the educational
advancement of such Indians; for financial assistance in cases of illness, death, or other emergency; for the maintenance
and support of the aged, infirm and incapacitated Klamath Indians; and for the repayment of reimbursable loans pre-

viously made to such Indians from tribal funds. For the establishment of such loan fund, the Secretary of the Interior shall
immediately set aside the unexpended balance of any funds heretofore appropriated or authorized to be used out of the tribal
funds of the Klamath Indians for the establishment of reimbursable loan funds for industrial assistance or for any other purpose; and in addition thereto, out of any unobligated tribal funds, $100,000 shall be set aside for the fiscal year
1938 and $50,000 for each of the next three fiscal years.

SEC. 3.

The reimbursable loan fund provided for in section 2 hereof shall be administered, under and subject to such rules and regulations
as the Secretary of the Interior may prescribe, by a loan board composed of Klamath Indians of not to exceed five members: Provided, That in the event any property pledged as security is offered for sale to satisfy any obligation, the Klamath Indians shall
have preferential right, except there shall be no discrimination as to terms of sale, to purchase the same: Provided further, That the expenses of administering such fund, including such per diem for members of the loan board as may be authorized
by the Secretary of the Interior, shall be paid from such loan fund. After the fiscal year 1939 the aforesaid expenses of
administration shall not exceed the amount received from service fees, surcharges, and interest paid in on loans.

SEC. 4.

For the purpose of providing adequate security for any loans made
from the revolving reimbursable loan fund provided for in section 2 hereof, the Klamath Indians are hereby authorized to include
in the securities offered therefor, in addition to any unrestricted real or personal property owned by them, any lands, interest
in lands, rights, funds, future per-capita payments and other distributions of tribal assets, and other property, real, personal,
or mixed, of any nature whatsoever, belonging to individual Klamath Indians, heretofore regarded or classed as trust or restricted
Indian property.

SEC. 5.

All repayments made upon any loans made from the reimbursable
loan fund herein provided for, all repayments made upon any loans made from reimbursable loan funds for industrial assistance
or for other purposes heretofore established out of Klamath tribal funds, and all interest, surcharges, and service fees paid
upon any such loans, shall be credited to the reimbursable loan fund herein provided for and shall become available for the
purposes herein authorized.

SEC. 6.

The amounts which the Secretary of the Interior shall cause to be
added to the capital and loan funds established at his direction under the provisions of sections 1 and 2 of this Act during
each fiscal year shall not exceed the amount of unobligated Klamath tribal funds on deposit in the Treasury of the United
States available for that purpose.